Cloud Spending Continues to Elevate in 2016 – Enterprise Benefits & Priorities

Businesses plan to maintain or increase private and hybrid cloud spending in 2016, study says.

Almost 2 years ago, we discussed the trends of adopting cloud services in 2014. Now, according to a recent “2016 Enterprise Cloud Computing Survey” conducted by Clutch, a Washington, D.C.-based B2B research firm, momentum continues as 90% of enterprises plan to increase or maintain annual spend on cloud computing in 2016.

The survey included 300 IT professionals from mid to large organizations with more than 101 – 5,000+ employees. But their responses are unsurprisingly relatable to businesses of all sizes.

Increased Efficiency is the main benefit of Cloud Computing

When asked, “What are the top three benefits your company receives from using the Cloud?” nearly half (47%) ranked Efficiency as the leading benefit of cloud computing – closely followed by Security (45%) and Data Storage (41%).

Overall primary, secondary, and tertiary cloud computing benefits also included:

• Flexibility (32%)
• Scalability (26%)
• Speed (24%)
• Mobility (24%)
• Cost (22%)
• Physical Space (20%)
• Maintenance (11%)
• Other

File Storage ranks highest use for Cloud Infrastructure 

Enterprises identify File Storage (70%) as the leading task they use cloud computing to complete. File Storage encompasses documents and files, as well as applications and data. Although File Storage is an essential need for all businesses and initially catalyzes adoption of the cloud, some lean toward application deployment as the highest prioritized task for cloud computing.

Overall primary, secondary, and tertiary cloud computing tasks included:

• Backup / Disaster Recovery (62%)
• Application Deployment (51%)
• App Testing / Development (46%)
• Mobility (47%)
• Collaboration (36%)

To attain all the business benefits and robust portfolio of tasks completed via cloud computing, more than half of enterprises (53%) hire a professional, external consulting firm to implement their cloud. Organizations leverage their extensive knowledge base of cloud infrastructure, but find external parties disadvantageous if the transfer of knowledge to the internal team isn’t successful throughout the engagement.

Cloud Computing Service Providers

When it comes to cloud computing service providers in the enterprise market, 4 providers dominate 54% of all revenue. However, IT professionals emphasize the importance of selecting a cloud service provider that best fits the company’s needs. The opportunity for smaller vendors to have specialized features and functions provide more options to organizations of all sizes and meet the evidently, increasing market demand.

Trapp Technology is an established cloud provider for accounting and financial services, construction, real-estate, retail, and professional service industries. Our cloud portfolio encompasses Software Solutions, Application Hosting, Sever Hosting, and Hosted Virtual Desktop for single user or enterprise-level organizations.

If your business is ready to experience the benefits of cloud in 2016, contact us today or sign up for a application cloud-hosting 30 Day Test Drive here.